We at Development Dialogues are constantly trying to expose what lies beneath the glitzy exterior of 'development' the world over. The blog was started as an archive for the articles and reports pertaining to the land acquisitions in West Bengal and India. The scope of the blog has since been expanded to include resistance movements against state and corporate repressions from around the world.

Saturday, February 9, 2008

Recent events in Singur - a town which is less than 40 kms away from Kolkata (Calcutta), where the West Bengal government is struggling to acquire and sell 1000 acres of agricultural land to Tata Motors - indicate the extent to which capitalist-parliamentarianism can regiment a counter-hegemonic force once it agrees to play by the rules. At the least, it clearly shows that the Communist government, which boasts of being the longest-running democratically elected Marxist government in the world, is hopelessly caught in the neoliberal project. And Singur is not an isolated event. In the state of West Bengal alone, the process of state-led land grab and the resultant opposition is already gaining momentum in at least three different locations: (a) in Kharagpur, West Medinipur district, where vast tracts of multi-crop farmland is being taken over for yet another Tata vehicle factory; (b) in Nandigram, East Medinipur district, where a chemical industries hub is proposed to be set up by the Salim group on a 10,000-acre area; and (c) in North Bengal where a Videocon Special Economic Zone (SEZ) is proposed to come up in the near future.

Nor is this story limited to West Bengal. Throughout India, resources are being acquired for Special Economic Zones and numerous other industrial schemes meant to facilitate corporate capital expansion. Since laws permitting this acquisitions were passed an year ago, state governments have notified 267 SEZs, which will require more than a half million hectares of land. Of this, the state has already acquired 137,000 hectares for 67 SEZs while another 80 have `in principle' been approved.(1) The Government has converted the erstwhile Export Processing Zones located at Kandla and Surat (Gujarat), Cochin (Kerala), Santa Cruz (Mumbai-Maharashtra), Falta (West Bengal), Madras (Tamil Nadu), Visakhapatnam (Andhra Pradesh) and Noida (Uttar Pradesh) into SEZs. In addition, 3 new Special Economic Zones that had been approved for establishment at Indore (Madhya Pradesh), Manikanchan (Salt Lake, Kolkata) and Jaipur have since commenced operations.

In this backdrop, the West Bengal government's adamant attitude towards land acquisition, despite the popular unrest, shows that the Indian State and its agencies, irrespective of their ideological masks, are working relentlessly to provide the private sector with "an internationally competitive and hassle free environment". In this note, we wish to conceptualise this political economic process, identifying its different facets and understanding their interlinkages. It is our contention that using the recently re-interpreted Marxist concept of "primitive accumulation" can provide crucial insights in this regard. We wish to demonstrate that current developments in India can be fruitfully understood by employing the notion of primitive accumulation, understood as a constitutive primitive of capitalism, the process which continuously creates and consolidates the capital-relation. Adopting this new perspective might also help in redefining the agenda of struggles and counter-hegemonic politics in the neoliberal context.

Primitive Accumulation: Two Interpretations

As is well known, Marx had brought up the concept of primitive accumulation to try to understand the historical origins of capitalism. It is generally accepted by economic historians that in pre-capitalist modes of production the primary producers (majority of whom were peasants) had ownership of the means of production, most crucial among them being land. If we agree that capitalism is distinguished from these other modes of production by the relationship of a class of propertyless labourers (who have nothing to sell but their labour power) and a class of propertied capitalists (the owners of the means of production) mediated through the market (2), then the following question naturally arises: how did we arrive at the class of propertyless labourers from a class of producers who had the ownership (or at least the right of usage) of the means of production? It is this historical question that Marx sought to answer with the concept of "primitive accumulation".

In a sense, the answer is already contained in the question. Primitive accumulation is the process by which the producer is divorced from her/his means of production. Since, moreover, land is the primary means of production in pre-capitalist societies, the main focus of primitive accumulation was to separate peasants from the land. While the gradual penetration of market relations had a role to play in this, outright use of force was far more important, and in a sense the key. Only by evicting peasants from their lands and disrupting their livelihood could the development of markets in free labour and land be ensured; and only this could provide the firm basis for the emergence and consolidation of the capital-relation:

"The capital-relation presupposes a complete separation between the workers and the ownership of the conditions for the realization of their labor. As soon as capitalist production stands on its own feet, it not only maintains this separation, but reproduces it on a constantly extending scale. The process, therefore, which creates the capital-relation, can be nothing other than the process which divorces the worker from the ownership of the conditions of his own labor; it is a process which operates two transformations, whereby the social means of subsistence and production are turned into capital, and the immediate producers are turned into wage-laborers. So-called primitive accumulation, therefore, is nothing else than the historical process of divorcing the producer from the means of production. It appears as 'primitive' because it forms the pre-history of capital, and of the mode of production corresponding to capital."(3)

It is worth recalling that Marx studied the "enclosure movement" in Britain within this overall perspective. One crucial aspect of primitive accumulation should be noted immediately: it effects a redistribution and transfer of claims to already existing assets and resources, rather than creating any new assets. In this sense, it is an accumulation of intangible rights and not the accumulation of tangible assets or goods. This aspect of primitive accumulation is important for our purposes because the current frenzy of state-assisted acquisition of land and other resources in India is precisely a process whereby rights of access and usage of already existing resources are being redistributed and transferred.

The last decade has witnessed a resurgence of debate around attempts to re-interpret the concept of primitive accumulation.(4) This debate has indicated that there are two distinct but related interpretations of primitive accumulation, one which stresses the temporal aspect and the other which stresses the constitutive or originary aspect. For the first, more traditional, interpretation the primitiveness of primitive accumulation is understood in a purely temporal sense. Primitive accumulation is seen as the historical phase which created the preconditions for the development of capitalism by forcing the separation of workers and means of production. The second interpretation notes that there is both a temporal and a continuity argument in Marx's account of primitive accumulation. For this interpretation, therefore, the primitiveness of "primitive accumulation" does not arise simply from its location in historical time, relevant only as the initial stage of capitalism; rather, it is the constitutive primitive of the capitalist system, a process that is essential for perpetuating its fundamental class structure - the separation between producers and means of production.

If primitive accumulation is constitutive, then it must arise as a continuous process within capitalism viewed as a global system. Expanded reproduction of the system requires reproduction of the capital-relation at every moment; separation of workers and means of production must be maintained continuously. In its day-to-day functioning, a mature capitalist economy enforces this separation through the market, i.e., by economic means; but at the boundaries (both internal and external), where capitalism encounters other modes of production, property and social relations attuned to those modes and also to the earlier stages of capitalism, other ways of subsistence, primitive accumulation comes into play. More often than not, direct use of force is necessary to effect the separation at the boundaries. And since capitalism, as a global system, continuously encounters other modes of production along with the simultaneity of diverse stages of capitalism in various localities, the constitutive role of primitive accumulation is always in demand. One can probably go so far as to assert that capital accumulation is the extension of primitive accumulation, enforced through the market. In fact, in Volume 3 of Capital, Marx himself calls the concentration and centralisation of capital, which occur during the course of market-induced capital accumulation, as "simply the divorce of the conditions of labour from the producers [which occurs through primitive accumulation] raised to a higher power"(5).

But this does not mean that the two are identical. In fact two differences are especially important to grasp for the development of our overall argument:

(a) "[W]hile accumulation relies primarily on "the silent compulsion of economic relations [which] sets the seal on the domination of the capitalist over the worker," in the case of primitive accumulation the separation is imposed primarily through "[d]irect extra-economic force" (Marx 1867: 899-900), such as the state (Marx 1867: 900), particular sections of social classes (Marx 1867: 879), etc. We can say therefore that primitive accumulation for Marx is a social process instigated by some social actor (the state, particular social classes, etc.) aimed at the people who have some form of direct access to the means of production. This social process often takes the form of a strategy that aims to separate them from the means of production."(6)

(b) "As opposed to accumulation proper, what may be called primitive accumulation... is the historical basis, instead of the historical result, of specifically capitalist production' (Marx 1867: 775). While sharing the same principle - separation - the two concepts point at two different conditions of existence. The latter implies the ex novo production of the separation, while the former implies the reproduction - on a greater scale - of the same separation."(7)

Keeping these differences are important because one comes to the rescue of the other when market processes falter. Since capital accumulation operates through the market, the services of primitive accumulation are required almost by definition when the market is in crisis. During crucial phases of capitalist crisis, primitive accumulation emerges to help transcend barriers to accumulation in two ways: (a) by facilitating the transition from the critically fated regime to a new regime of accumulation, and (b) by continuously negotiating the spatial expansion (both internal and external) of capitalism. During periods of transition and expansion, "new enclosures" are required for putting the normal course of capitalist reproduction back on track. Securing these enclosures through force and other "direct extra-economic means" is the function of primitive accumulation. This re-definition allows us to grasp the function of the State and its continuous politico-legal activism in every stage of capitalism.

The present neoliberal phase can probably be understood fruitfully from this perspective. Despite the talk of separating the political from the economic, which is a staple rhetoric of the current phase, it is the state as the instrument of politico-legal repression that facilitates neoliberal expansion. Firstly, the state intervenes with all its might to secure control over resources - both natural and human ("new enclosures") - and secondly, to ensure the non-transgression of the political into the economic, which essentially signifies discounting the politics of labour and the dispossessed from affecting the political economy. David Harvey notes that, "The main substantive achievement of neoliberalization... has been to redistribute, rather than to generate, wealth and income"; the main mechanisms for achieving this is referred to by Harvey as "accumulation by dispossession", by which he means,

"... the continuation and proliferation of accumulation practices which Marx had treated of as 'primitive' or 'original' during the rise of capitalism. These include the commodification and privatisation of land and the forceful expulsion of peasant populations...; conversion of various forms of property rights (common, collective, state, etc.) into exclusive private property rights...; suppression of rights to the commons; commodification of labour power and the suppression of alternative (indigenous) forms of production and consumption; colonial, neo-colonial, and imperial processes of appropriation of assets (including natural resources); monetization of exchange and taxation, particularly of land; the slave trade (which continues particularly in the sex industry); and usury, the national debt and, most devastating of all, the use of the credit system as a radical means of accumulation by dispossession. The state, with its monopoly of violence and definitions of legality, plays a crucial role in both backing and promoting these processes."(8)

Harvey identifies four main features of "accumulation by dispossession": privatisation, commodification, financialization and the management-manipulation of assets, each feeding on the other, supported by the other and gaining strength from the other. The neoliberal resurgence since the mid-1970s can be understood as capital's counter-revolutionary response to the crisis that enwrapped "embedded liberalism" internationally in the late-1960s, with "signs of a serious crisis of capital accumulation...everywhere apparent. Unemployment and inflation were both surging everywhere, ushering in a global phase of 'stagflation' that lasted throughout much of the 1970s."(9)

The Politics of Primitive Accumulation in India

What is going on in India today can be understood by employing the concept of primitive accumulation (as understood in the second interpretation) in almost all of the above senses: separating primary producers from land; privatisation of the "public", conversion of common property resources into marketable commodities, destroying non-market ways of living, etc. To our mind, each of the instances of ``displacement" or state-led "land grab" are willy-nilly feeding into the overall process of primitive accumulation in India by divorcing primary producers from the land or restricting direct access to other common property resources like forest, lakes, river, etc. A question crops up immediately. Being a labour-surplus economy, does India need to generate additional labourers, which is an obvious result of primitive accumulation, before absorbing what is already available? Certainly not, if we think from the perspective of labour. But the answer changes if we see the whole process from the perspective of capital. Fresh entrants into the already burgeoning ranks of the proletariat will increase the relative surplus population - floating, latent and stagnant - depressing real wages and thereby increasing the rates of profits on each unit of invested capital. Moreover, one of the major features of the neoliberal regime of accumulation has been the incessant `informalisation' of the labour process, and further growth of the relative surplus population makes late-capitalist countries like India finely attuned to this. As Jan Breman notes:

"Mobilization of casual labour, hired and fired according to the needs of the moment, and transported for the duration of the job to destinations far distant from the home village, is characteristic of the capitalist regime presently dominating in South Asia."(10)

Separation of producers from their means of production and subsistence, especially land and other natural resources, also creates markets for these resources; and thus comes into being the various agencies that thrive through hucksterage in these markets. These intermediaries play the crucial role of facilitating and normalising the process of primitive accumulation. Examples abound: Trinamool Congress goons, grassroots-level CPI(M) leadership, local middle classes like school teachers, lawyers, and other similar forces in the Singur case; state-traders, local elites-supported Salwa Judum in Chhatisgarh.

The major target of land acquisition in India today is in areas where either peasant movements have achieved some partial success in dealing with capitalist exploitation and expropriation or areas largely inhabited by the indigenous population whose expropriation could not be increasingly intensified because of the welfarist tenor of the pre-liberalisation regime. West Bengal is the prime example of the former, where Left Front rule congealed due to its constituents' involvement in the popular movements. Now, the movements' institutionalisation and incorporation of the leadership into the state apparatus is facilitating the present-day resurgence of primitive accumulation. Examples of the second kind of area could be parts of Chhatisgrah, Orissa, Andhra Pradesh or Madhya Pradesh, which the corporate sector is eyeing for mining activities and for setting up steel plants.

As an instructive example, if nothing else, let us see how displacement in Singur will affect the various class forces on the ground. While the state apparatuses are trying to secure resources for corporate capital, sections of the local elite, including the well-off farmers led by the mainstream non-left political parties - like the Congress and Trinamool (TMC) - have joined the movement against land acquisition essentially to obtain various kinds of concessions, a higher price for giving up the land to the State and perhaps also for increasing the land price for their future real estate speculation around the upcoming industrial belt. For example, "a TMC leader and ex-pradhan of one of the gram panchayats was initially with the movement, but finally gave away his land. Many of the landed gentry, some of them absentee, who own bigger portions of land, depend on 'kishans' (i e, hired labours, bargadars, etc) for cultivation of their lands. They principally depend on business or service and have come forward to part with their land in lieu of cash."(11) In case the government talks to the protesters and gives larger concessions, it is these sections that will benefit the most.

The people who are really the backbone of the movement in Singur are the landless working class and poor peasantry. According to a recent report, "many agricultural workers and marginal peasants will lose their land and livelihoods. Though the State Government has decided to compensate the landowners, no policy has been taken for the landless agricultural workers, unrecorded bargadars and other rural households who are indirectly dependent for their livelihood on land and agricultural activities."(12) The region is also inhabited by the poor who "frequent the nearby town, being employed in factories, shops and small businesses. Some of the youth have migrated to cities like Mumbai, Delhi and Bangalore, working there principally as goldsmiths or construction workers. There were several cases of reverse migration when people came back to their village after the closing down of the industries where they were working or finding it more profitable to work on the land than to work in petty industries or businesses, drawing a paltry sum in lieu of hard labour."(13) For this population as also for the landless workers and marginal peasants, the Singur struggles are existential ones.

As an example of the second kind of land acquisition, we can turn our attention to Chhatisgarh. A report on recent developments in Chhatisgarh notes that, in India,

"[t]ribal lands are the most sought after resources now. Whether it is in Orissa or Chhattisgarh or Andhra Pradesh, if there is a patch of tribal land there is an attempt to acquire it. It is no geographical coincidence that tribal lands are forested, rich with mineral resources (80 per cent of India's minerals and 70 per cent of forests are within tribal areas) and also the site of a sizeable slice of industrial growth. The tribal districts of Chhattisgarh, Orissa, Jharkhand, Karnataka and Maharashtra are the destination of us $85 billion of promised investments, mostly in steel and iron plants, and mining projects. Ironically, these lucrative resources are of no benefit to the local people: an estimate of 10 Naxal-affected states shows that they contribute 51.6 per cent of India's GDP and have 58 per cent of the population. As with Chhatisgarh, all these states have a strong Naxal presence and are witness to movements against land acquisition. The state governments say these protests are Naxal-inspired. Local people say, however, that all they are trying to do is protect their land, forests and livelihood."(14)

Here the State's mode of facilitating primitive accumulation is by raising mercenaries, the Salwa Judum. This extra-legal use of force is supported by the traditional exploiters of the indigenous population - traders, usurers, civil servants and tribal neo-elites, who have functioned as intermediaries in the regime of commerce-based surplus extraction. On the one hand, absence of any recognised land rights of tribal communities, has allowed the State to use principles of terra nullius and eminent domain to expropriate them. On the other, these communities have continued to exist in defiance of all these legalities. However, with the recent intensification of efforts to secure resources for corporate profiteering, along with the continued presence of primitive extractive modes of exploitation, these communities have been left with no real choices but to arm themselves for securing their unrecognised rights. Hence,

"Most tribal people living in forests are officially 'encroachers'. They live under the constant threat of being alienated from their land and livelihood. While the government completely failed to reach out to them, the Naxals succeeded in connecting to sections of the people. They spread to the state's 11 districts (200 districts in the country). Unable to contain them, government supported the creation of a civilian militia - Salwa Judum".(15)

Besides these widely discussed cases of recent land acquisition and displacement, there have been numerous conflicts around the rights over water resources over the years. In almost all such cases, the state has come forth as being hell bent upon the construction of big dams and other hydroelectric projects despite all evidence of the net negative marginal costs of these projects. During the past two decades, Narmada Bachao Andolan has been a prominent force constantly exposing the anti-people, anti-environment character of these projects. Even in the Himalayan region of Uttaranchal (site of the legendary Chipko Andolan), riverbeds and surrounding lands have been 'enclosed' for private capital to be used for power generation and lucrative tourism projects. In fact, recent politics in this region cannot be fully understood without understanding the conflicts around these enclosures. Closer to urban India has been the neoliberal systematisation of commercial and financial centres, the `clearing' of slums, in cities like Delhi and Mumbai, which have naturally been the hotbed of the politics of and against "new enclosures".

Understanding all these diverse processes in the framework of primitive accumulation has several strategic implications. Perhaps, most urgently, this can provide a unified framework to locate the numerous struggles going on in the country right from the `new' social movements, like landless workers movements, Narmada Bachao Andolan and other local mobilisations of 'development-victims', to anti-privatisation movements of public sector workers, all the way to the revolutionary movements led by the Maoists. This unified framework can then possibly facilitate dialogue among these movements, something that is more than essential at this juncture if the movement of labour against capital is to be strengthened.

A Future Beyond Capital

Using this framework will also mean re-evaluating many of the theoretical positions that are currently in use. For example, it will be necessary to rethink the classical communist position that characterises the Indian state as semi-feudal and semi-colonial, and thereby sees the struggle of the peasantry as being directed primarily against feudal oppression. It is possible that the inherent limitations of this ideological framework disallow revolutionaries and other radicals to formulate effective strategies against the whole system, a system that preserves various vestigial forms to facilitate accumulation but is not defined by them. Thus, movements struggling against different forms of these vestiges are easily localised, regionalised, marginalized, dispersed, and even utilised in the intra-ruling class competition and conflicts. The state of the official Indian left is illustrative in this regard. It, too, stresses on the presence of "vestiges" and the insufficiency of development, but then turns around and justifies its accommodation in the neoliberal capitalist project as a fight against these vestiges!

Despite the apparent popularity of the new movements of Latin America among the official Left in India, their attachment to a schematic notion of national capitalist development retains all its strength. The devastating consequence, of course, is the deferral of the revolutionary moment till that development is attained; in reality, this amounts to postponing the revolutionary moment beyond the horizon of all concrete possibilities. Surely, this is not simply an ideological problem coming from a faulty understanding of the dynamics of capitalism or socialism. It is a consequence of the official left leadership's accommodation in the capitalist-parliamentary framework, an accommodation moreover that forces them to participate in the competitive race for representation. In the pursuit of presenting itself as the legitimate representative of the "plurality of opinions", which parliamentary politics poses against the notion of class struggle, the left reproduces this plurality within itself, along with its built-in hierarchy. With partial successes in this exercise, representatives of the opinions that count, i.e., the hegemonic class interests, solidify themselves within the party structures. And it is this congealment within the Left Front in West Bengal that leads the "communists" to vocalise neoliberal myths of neutral industrial development, dubbing every protest against its policies as anti-developmental, backward and manipulative. Parallels with the neoliberal demonisation of the transgression of the political into the economic can hardly be missed. Echoing well-heeled mandarins in Delhi, the Left Front government regularly uses the classic threat of capital flight to regiment all protesting voices.

Without comprehending the function of vestiges of earlier modes of production within capitalism or the role of earlier stages of the capitalist mode of production in sustaining capital accumulation, any fundamental challenge to the hegemonic forces in a late capitalist society like India cannot be formulated. It can hardly be denied that, "we suffer not only from the development of capitalist production, but also the incompleteness of that development. Alongside the modern evils, we are oppressed by a whole series of inherited evils, arising from the passive survival of archaic and outmoded modes of production, with their accompanying train of anachronistic social and political relations. We suffer not only from the living, but from the dead. Le mort saisit le vif [The dead man clutches onto the living]!"(16)

We will have to recognise the fact that during the stage of imperialism, and more so in the present postcolonial situation, "a high level of capitalist development no longer require[s] the elimination of the traditional class of 'small producers'" and other pre-capitalist 'remnants'.(17) Even in a country like Japan, "in which capitalist society developed only at the so-called finance-capitalist stage of world capitalism, a high level of capitalist development has not been incompatible... with the survival of the traditional class of 'small producers'."(18)

Indian capitalism, like Japanese, came into being in the stage of imperialism, when finance capital and inter-imperialist rivalries were already subjugating the whole world. Moreover, development under direct colonialism foisted some unique features on to the general characteristics of "late capitalism". During the colonial period, "self"-expansion of Indian capital beyond the physical horizons of India was implausible because this would have required an Indian State committed to these interests. Colonialism ruled this out almost axiomatically. However, there were other channels available. The simultaneous existence of various socio-economic formations at diverse levels of Indian society allowed some possibility of 'internal' colonialism and "enclosures", thus, providing the basis for capitalist expansion. Even after Independence, Indian capital relies heavily on the 'diversity' (or unevenness) of Indian economy and society for primitive accumulation and expansion. Additionally, 'semi-feudal' conditions at various locations within the country provide a vast reserve army of labour. The important characteristic of this insecure and docile population is that they can be pulled out of their original locations and thrown into the growing labour market without disturbing the essential fabric of society. In other words, pre-capitalist forms of exploitation provide vast and near permanent pools of cheap labour, which competes with the urban proletariat, thereby bringing the latter under political and economic control. Moreover, this seems (19) to resolve the "agrarian problem" of Indian capitalism, by 'externalising' rural and underdeveloped India from the "core" industrial islands. Concentrating capitalist agricultural development in particular locations of India (for example in West and North-west India), Indian capitalism could afford to under-develop other locations so that they could serve as "external markets" and as reserves of "footloose labour".

Because unevenness is the essential feature of capitalist development, any mode of regulation, including neoliberal globalisation, has to negotiate with diverse stages of societal development. Hence local reactions against this new wave of capitalist consolidation and accumulation are bound to be diverse. The revolutionary vision consists in coordinating these diverse forces for building a formidable challenge to capitalism. Even the struggles against vestigial forms, if they have to be decisive, need to be recognised as contesting capitalist relations that sustain them and are articulated through them. In the Indian context, they are all struggles against a stuttering capitalism, against the inherent brutalities of primitive accumulation. We will have to realize that the movements are not about "saving" tribals/indigenous populations or their way of lives; the movement is a movement of labour against capital. Tribals, poor peasants, marginal peasants, landless labourers, informal sector workers, all these sub-classes are fighting against the tyranny of capital, against being fed - with their labour and resources - into the capitalist machinery. Obviously, in this fight against capital, we cannot cling on to any nostalgia for a pristine past, rather our vision must be directed towards the future, a future built on the transcendence of capital, a socialist future rooted in a participatory economy and polity. Only then can the vast majority suffering in the margins of capitalism and toiling under vestigial relations, can make a concerted, decisive effort to end the tyranny of capital.

(19) Japanese Marxist Kozo Uno stressed that capitalism is incapable of solving the agrarian question. "We can say that it became clear on a world scale that the ability to solve the agrarian question would entail the ability to construct a new society to replace capitalism, and we may regard the League of Nations as having been one such attempt. The solution to this problem, of course, means no more than the external expression of the internal contradictions of capitalism, and cannot occur unless the issue of class relations is solved. In this sense, the failure of the League of Nations was only to be expected." (Quoted in Andrew E Barshay, The Social Sciences in Modern Japan: The Marxian and Modernist Traditions, University of California Press (2004), pp.128)